FOOD & BEVERAGE POLICES

Presented By
Abhinandn Sawant
Omkar Gowli

INFRASTRUCTURE DEVELOPMENT
IN FOOD PROCESSING SECTOR
FOOD PARK SCHEME
PACKAGING CENTRES
INTEGRATED COLD CHAIN FACILITY
IRRADIATION FACILITIES.

FRUITS AND
VEGETABLES

No industrial license
Pickles & chutneys, tapioca sago and tapioca flour are reserved for
exclusive manufacture in the small scale sector
Export of fruit & vegetable products is freely allowed

FISHERIES

All items can be exported freely (except for silver pomfrets)

Export of marine products is allowed only after registration of the
units as an exporter with the Marine Products Export Development
Authority (MPEDA), Cochin

MEAT AND
POULTRY

Export of meat is subjected to pre-shipment inspection

Slaughter of cows is banned in most of the States
No Objection Certificate (NOC) has to be obtained from the District
administration for the slaughter of cattle, buffaloes etc
Permission from the civic bodies/State Government (Department of
Animal Husbandry) is also required before setting up a meat
processing unit integrated with a slaughter house

MILK AND
MILK
PRODUCTS

Requires no permission for units handling less than 10,000 liters of

liquid milk per day or milk solids up to 500 tons per annum
All the milk products except malted foods are covered in the
category of industries for which foreign equity participation up to
51 per cent is automatically allowed
Exports of some milk based products are freely allowed with the
compulsory inspection requirements from concerned agencies

GRAINS

Rice milling and pulse milling sectors, which were earlier reserved
for the small scale sector, have now been de reserved

PACKAGED
FOODS

Automatic approval for foreign investment up to 51

per cent of equity is granted
Standards of Weights and Measures Act, 1976, and
the Standards of Weights and Measures (Packaged
Commodities) Rules, 1977 (SWMA)
The Prevention of Food Adulteration Act, 1954, and
the Prevention of Food Adulteration Rules, 1955 (PFA)
The Agmark Rules

THANK YOU

NOTE

FOOD PARK SCHEME

The idea behind setting up of food parks is that small and medium entrepreneurs
find it difficult to invest in capital-intensive activities. Therefore, as a part of the
strategy to develop food processing infrastructure, the Ministry has been pro
actively pursuing the task of setting up of food parks in different parts of the
country. In the food parks, common facilities like cold storage, food testing and
analysis lab, affluent treatment pla nt, common processing facilities, packaging
centre, power supply, water supply, seminar / conference / training facilities etc can
be assisted. Financial assistance for food parks is provided at 25 per cent for general
and 33.33 per cent for difficult areas subject to a maximum of Rs. 40 million. Under
the scheme, 02 food parks were assisted under 8th Plan, 39 under 9th Plan Scheme
and 10 under 10th Plan. An amount of Rs. 1.04 billion has been sanctioned up to
December 2005. 22 food parks have become operational.
In a bid to boost the food sector, the Government is working on agrizones and the
concept of mega food parks. Twenty such mega parks will come up across the
country in various cities to attract Foreign Direct Investment (FDI) in the food
processing sector.
The Government has released a total assistance of US$ 23 million to implement the
Food Parks Scheme. It has so far approved 50 food parks for assistance across the
country. The Centre also plans US$ 22 billion subsidy for at least 10 mega food
processing parks.

PACKAGING CENTRES

The Scheme aims to provide facilities for packaging, which

may help in enhancement of shelf life of food products and
make them internationally acceptable. Assistance at 25 per
cent of the project cost in general areas and 33.33 per cent
in difficult areas subject to a maximum of Rs. 20 million is
provided for establishment of packaging centre. Assistance
is available to all implementing agencies. So far assistance
of Rs. 1450 million has been sanctioned to one packaging
centre in Jammu & Kashmir.

INTEGRATED COLD CHAIN

FACILITY

The scheme is intended to improve viability of cold storages

and enhance cold storage capacity. Assistance at 25 per
cent of the project cost in general areas and 33.33 per cent
in difficult areas subject to a maximum of Rs. 7.5 million is
provided for establishment of cold chain facilities. During
10th Plan an amount of Rs. 4010 million has been
sanctioned towards assistance for three cold storages in
Gujarat, three in Maharashtra, one each in U.P., Kerala,
Manipur, Meghalaya, Andhra Pradesh, Haryana, Delhi and
Goa. During 9th Plan, assistance of Rs. 148.6 million was
extended to 53 cold storages.

IRRADIATION FACILITIES

The scheme aims at enhancing shelf life of the food product

through irradiation techniques by preventing infestation like
in flour, sprouting and change in chemical composition of
the product (as in potato). Financial assistance at 25 per
cent of the project cost in general areas and 33.33 per cent
in difficult areas subject to a maximum of Rs. 50 million is
provided for establishment of irradiation facilities. So far
four irradiation projects i.e. two in Maharashtra and one
each in West Bengal and Haryana have been sanctioned
assistance involving an amount of Rs. 78.9 million.

Sectorwise

FRUITS AND VEGETABLES

Though no industrial license is required for setting up Fruits &
Vegetable Processing industries, setting-up 100 per cent
Export Oriented Units require specific Govt. approvals.
Some items like: pickles & chutneys, tapioca sago and tapioca
flour are reserved for exclusive manufacture in the small scale
sector
Export of fruit & vegetable products is freely allowed

FISHERIES
All items can be exported freely except for silver pomfrets of
weight less than 300 grams
Export of marine products is allowed only after registration of
the units as an exporter with the Marine Products Export
Development Authority (MPEDA), Cochin.

MEAT AND POULTRY

Export of meat is subjected to pre-shipment inspection and a
certificate is required from State Animal Husbandry
Department/Directorate of Marketing and Inspection
Slaughter of cows is banned in most of the States. Export of
beef is prohibited
A No Objection Certificate (NOC) has to be obtained from the
District administration for the slaughter of cattle, buffaloes etc.
Permission from the civic bodies/State Government
(Department of Animal Husbandry) is also required before
setting up a meat processing unit integrated with a slaughter
house

MILK AND MILK PRODUCTS

The order requires no permission for units handling less than 10,000
liters of liquid milk per day or milk solids up to 500 tons per annum
All the milk products except malted foods are covered in the
category of industries for which foreign equity participation up to 51
per cent is automatically allowed
Ice cream, which was earlier reserved for manufacturing in the small
scale sector, has now been de-reserved. As such, no license is
required for setting up of large scale production facilities for
manufacture of ice cream
Subsequent to de canalization, exports of some milk based products
are freely allowed provided these units comply with the compulsory
inspection requirements of concerned agencies like: National Dairy
Development Board, Export Inspection Council etc.

GRAINS
Rice milling and pulse milling sectors, which were earlier
reserved for the small scale sector, have now been de reserved

PACKAGED FOODS
The industry is de licensed and automatic approval for foreign
investment up to 51 per cent of equity (except for items like
malted food and items which are reserved for production in small
scale sector) is granted
The packaging laws and regulations affecting food products are
mainly covered under the Standards of Weights and Measures Act,
1976, and the Standards of Weights and Measures (Packaged
Commodities) Rules, 1977 (SWMA) specifying the quantity and
package labeling regulations for all products
The Prevention of Food Adulteration Act, 1954, and the Prevention
of Food Adulteration Rules, 1955 (PFA) specify food
adulteration/contamination norms and permissible ingredients
from consumer health and safety point of view
The Agmark Rules relate to the quality specifications and needs of
certain agricultural products to be eligible for Agmark certification